Crackdown leads to 2 arrests

Task force successful in stopping cheaters

A crackdown on "cheat to compete" companies has netted two more arrests in South Florida: a woman allegedly involved in a check-cashing ring and a man accused of transmitting money without a license.

Authorities link the arrests to efforts by companies to evade payment of workers' compensation insurance, so they can bid on contracts at prices below rivals that do pay the required premiums.

The offices of the Broward County Sheriff and Florida's Chief Financial Officer have joined together to stem the widespread problem through a Workers' Compensation Fraud Joint Task Force.

"The criminals who perpetrate this type of fraud try to be two steps ahead of the law," Chief Financial Officer Jeff Atwater said Monday in a statement announcing the arrests. "Partnerships between law enforcement agencies such as this one help us stay ahead of the game."

In the latest arrests, the task force found "shell" construction companies that had not paid workers' comp.

Macineiras, 39, owner of JC Check Cashing Store, faces five years in jail if convicted on the charges.

Calls to the store were met with a recording that the phone number was temporarily disconnected.

Separately, detectives arrested Akram Musa, 45, for transporting more than $100,000 in cash for a money service business without the proper licenses. Musa could face up to 30 years in prison.

The Joint Task Force started in August 2011. So far, it has charged 21 people, including five not yet located. It has shut down 18 shell companies and identified $200 million in fraudulent transactions from those businesses. It also has seized about $2 million, a spokeswoman said Monday.

Their efforts included charges brought in late July against eight contractors who allegedly were involved in a $70 million scheme designed to underbid law-abiding contractors in a struggling economy, Sheriff Al Lamberti said at the time.

Some shell companies also pay workers in cash to avoid outlays on Social Security and other taxes, Lamberti said.

The task force expects more arrests from the crackdown in the coming weeks, she added.